Theresa May has said she will not raise VAT if the Conservatives win the election, but stopped short of making the same commitments on income tax and national insurance.
In an interview with ITV’s Robert Peston, she said her government would not raise VAT, matching a promise made by Labour Shadow Chancellor John McDonnell moments before, but would not confirm she would maintain the Conservatives’ flagship “tax lock” pledge from the 2015 election, which ruled out increasing all three of VAT, income tax and national insurance.
Mr Peston challenged her on her statement, made on the steps of 10 Downing Street last July, that she would govern in the interests of those who were “just about managing,” when every independent economic assessment indicates that economic difficulties of the next few years will disproportionately affect poorer people.
Ms May said: "We have no plans to raise the level of tax. In relation to specific taxes, we won't be increasing VAT."
Shortly beforehand, she had told BBC One's Andrew Marr Show: "We have absolutely no plans to increase the level of tax but I'm also very clear that we don't want to make specific proposals on taxes unless I'm absolutely sure that I can deliver on those."
The tax lock has proved troublesome for Chancellor Philip Hammond, who was forced into a humiliating U-turn after last month's Budget when a revolt from backbench Tory MPs made him ditch planned national insurance increases for the self-employed.
Ms May said: “I’m clear that we have no plans to raise the level of tax. We won’t be increasing VAT but what I do want to ensure is that when we do look more widely at the tax system, that what we say, we’re absolutely clear we can deliver on.”
She added that the very rich were paying more than their fair share.
“If you look at the percentage of tax that’s being paid by the very richest, the top one per cent of people are actually paying a higher percentage of the overall income tax than in any year under the Labour government,” she said.
